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Nottinghamshire Chemical Manufacturers Specialising in Industrial Cleaning Solutions for Sale

Undisclosed, Nottinghamshire

CONFIDENTIAL SALE

  • Status

    FOR SALE

  • Date Submitted:

    11/04/24

  • Advert ID

    609665

  • Reference

    B07692 / Rightbiz

  • Call Agent:

    Registered members »

  • Turnover: Not Applicable
  • Net Profit: Not Applicable

Business Details

Chemical manufacturers specialising in industrial cleaning and maintenance solutions

Business
Please quote reference number B07692.

The company is a chemical manufacturer, specialising in heavy-duty cleaning materials and vehicle treatments. Core offerings include vehicle treatments, traffic film removers and hard surface cleaners.

Established in the 1980s, the company is a long-standing East Midlands-based chemical manufacturer, specialising in heavy-duty cleaning materials and vehicle treatments.

Core offerings include vehicle treatments, traffic film removers and hard surface cleaners.

Catering to a cross-section of industrial sectors including food processing plants and hospitals, the business sells predominantly to distributors. The company currently has an active client base of 50 customers, of which four account for 93% of total revenue.

Major points of differentiation include:

  • Fast turnaround times
  • Production flexibility with capacity to manufacture both small and large quantities
The company’s value proposition for prospective buyers includes:

  • Longevity in the market;
  • An established customer base (~50 active clients), including a long-standing relationship with a major vehicle treatment solutions provider, and high levels of repeat custom;
  • A library of in-house chemical formulations;
  • Team of nine staff;
  • A healthy financial profile with strong profit growth;
  • Compliance with BS5750 quality standards;
  • Promising avenues for growth, e.g. in improved marketing, developing an in-house supply arm, developing greater in-house chemical expertise, further product diversification, etc.
Financial profile

Profitability has been on a strong upward trajectory in recent years, with adjusted EBITDA growing 156% from £71,863 in 2019 to £183,086 in 2022. Revenue levels have also remained strong, increasing from £919,511 in 2019 to £1,489,290 in 2021. 

 Business outlook

This company offers established cleaning products with strong client relationships and potential for growth.

Limited marketing, a narrow client base, and a gap in technical chemistry expertise have restricted the company’s's growth potential. However, strategic marketing, diversifying the client base, and capitalising on other opportunities (e.g. developing an in-house supply arm), present exciting opportunities for sustainable and robust growth.

Highlights - 

  • Specialist manufacturers of industrial cleaning and maintenance products;
  • 50-strong client base;
  • Library of in-house formulations;
  • Team of nine staff;
  • Long-standing relationship with major vehicle treatment solutions provider;
  • Strong financial profile with profitability on a strong upward trajectory;
  • Promising avenues for future growth, including expanding into adjacent sectors (PPE, cleaning equipment) or developing an in-house supply arm.
Opportunities - 

Expanding into adjacent sectors, strategic marketing, diversifying the client base, and exploring other opportunities (e.g. D2C sales) present exciting opportunities for sustainable and robust growth.

Companies in adjacent industries (e.g. a company specialising in industrial lubricants or waste management solutions) could see the company as a complementary acquisition, offering product diversification and cross-selling opportunities.

Alternatively, an individual with industry knowledge and chemical expertise may wish to leverage their experience to take the company through its next stage of growth.



Location
Based in the East Midlands.



Premises
The business operates from a Leasehold industrial Unit.



Tenure
The premises are Leasehold.



Hours
The business trades all year round.



Staff
The business has a team of nine staff.



Financial Profile
Turnover IRO- £1.2m in 2022.

•100% share capital.
•Interested parties will be required to sign an NDA.


 



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Stay Safe

Do not pay any deposit to private sellers upfront. If you are looking to purchase a business, we advise that any deposits or transactions made are through a solicitor to prevent fraudulent activities from occuring.

Stay Safe

Don't share confidential information with any private sellers, including your home address, account passwords, bank accounts and credit card information.

Stay Safe

The vast majority of these scams involve the transfer of substantial sums of money. We advise all transactions made are through a solicitor to prevent fraudulent activities from occuring.

Stay Safe

Send a test amount before you consider handing over a large number of funds. Maybe even try transferring £1, and then speaking to your solicitor to confirm receipt.

Stay Safe

Do not disclose proof of funds directly to the sellers. If the sellers request you to show proof of funds, we advise that it is done through a solicitor to prevent fraudulent activities from occuring.

Stay Safe

Buying a business is not covered by consumer rights legislation. It is your responsibility to acquire a business that holds up in quality and agreement.

Stay Safe

Fraudsters will typically use false news in an attempt to get you to act quickly. For example, 'Your account has been disabled. Reset your password now.'.

Stay Safe

Review the performance of a business to make appropriate financial projections. Some businesses are dormant or not trading, so it is essential to check their short and long-term potential.

Stay Safe

Legitimate emails from Rightbiz will be with the domain @rightbiz.co.uk. However, emails from [email protected], [email protected] or [email protected] are not affiliated with Rightbiz.

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The data showed regarding this advert 'Chemical manufacturers specialising in industrial cleaning and maintenance solutions - B07692 / Rightbiz' comprises as a business advertisement. Rightbiz Ltd makes no warranty as to the accuracy or to the completeness of the advertisement or any linked or any associated information provided. In no event shall Rightbiz Ltd be liable for any damages or loss whatsoever including special, indirect, consequential, incidental or punitive damages for loss of profits and revenue, arising out of or connected with this website or to the use, reliance upon or performance of any information contained in or accessed from this website.